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Directions: The question consists of two statements, one labelled as Principle(s) and the other as Facts. You are to examine the principle and apply it to the given facts carefully and select the best option.
Principles:
1: Every agreement consists of an offer and acceptance.
2: Every agreement which fulfills the requirements of law becomes a contract.
3: Performance of the conditions of a proposal, or the acceptance of any consideration for a reciprocal promise which may be offered with a proposal, is an acceptance of the proposal.
Facts: God Medicine Company advertised that they would pay 10 thousand rupees to any person who used their drug for 15 days and yet contracted eye-flu. Prakash purchased the medicine and used it for the stated time. He contracted eye-flu.Decide upon the liability of the company.
Options :-
- Only the disease has been contracted and not the contract. Hence, the company is not liable.
- God Medicine Company is liable as it was a valid contract due to the performance of stipulated condition.
- God Medicine Company is not liable as there is no valid contract between the company and Prakash.
- God Medicine Company is liable for every agreement consists of an offer and acceptance.
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